For Arthur Hayes, the former chief executive officer of giant derivatives exchange BitMEX, said the bond's resurgence could cause investors to withdraw from Bitcoin.
The central bank's policies are likely to have a negative impact on Bitcoin and in extreme cases can cause the money to flow out of the cryptocurrency market, Hayes said.
In a new post on her personal blog, Hayes saying that the US Federal Reserve may choose to raise interest rates, which he thinks will be 'painful' for investors around the world ...
Crypto market has also seen periods of record low interest rates in the past, helping to generate strong volatility.
"I don't have a model to estimate the ratios between these two currencies, but at a high level if global fiat liquidity can get real returns on government bonds ..." said Hayes. There are many investors getting rid of electronic money, Bitcoin ”.
If such an event occurs in the future, Bitcoin will depend more on its technological premise - which he believes would be terrible without a large sum of money on board.
"The remaining technological value of Bitcoin is beyond my ability to estimate," Hayes said.
Ultimately, he said, "To counteract the risks, investors should take advantage of both the unparalleled potential of cryptocurrencies and the future volatility of fiat rates."
If you do not have a Binance account, register here: https://blogtienao.com/go/binance